Posts Tagged ‘auto marketshare’

Hyundai has also just launched its first hybrid electric vehicle, Elantra LPI, in the protected Korean market. The hybrid has a 1.6-liter engine that runs on LP gas, half the price of gasoline in Korea. It delivers a fuel economy rating of 17.8 km/l (42 mpg) and CO2 emissions of 99 g/km.

Hyundai Motor Company sold 1,403,931 vehicles during the first half of 2009, as sales dropped almost 6% from the year earlier period.

South Korea’s largest automaker, however, posted a net profit increase of 10.4%, to Won 1,036.8 billion, in the first six months of the year from Won 939.6 billion a year earlier. Sales declined 18.5% to Won 14.1 trillion from Won 17.3 trillion.

As a result operating profit fell 31% to Won 811 billion since exports from domestic Korean plants declined from a year earlier, and the company increased marketing expenses to “raise brand awareness and enhance overseas dealers.”

Marketing expenses basically more than doubled from 2.8% of revenue to 6% in the period.

The marketing gambit, though costly, showed some results. Hyundai Motor reached 5% global market share in the first half of this year for the first time ever, amid an estimated 15% decline in global automobile demand, compared to a year earlier. This result was achieved by expanded share in developed countries including U.S., China and in Europe, as the automaker boosted expanded marketing activities in local markets.